Twitter Q3 GAAP net loss narrowed to $102.87 million

Twitter reported a narrower loss for the third-quarter quarter, while quarterly revenue increased 8% from the prior year.

Twitter The company will reduce about 9% of its workforce

Twitter will reduce about 9% of its global workforce. It updated its outlook for the full year 2016 and provided guidance for the fourth quarter of 2016.

The company estimates that it will incur approximately $10 million to $20 million of cash expenditures as a result of the workforce restructuring, substantially all of which are severance costs, and $5 million to $10 million of non-cash expenditures, consisting primarily of stock-based compensation expense.

The company expects to recognize most of the pre-tax workforce restructuring charges in fourth-quarter 2016.

For the fourth quarter, Twitter expects stock-based compensation expense to be in the range of $150 to $160 million; GAAP share count of 715 to 720 million shares.

Looking ahead for full year 2016, Twitter now expects adjusted EBITDA to be in the range of $700 million to $715 million, adjusted EBITDA margin on GAAP revenue to be 27.5% to 28%; and capital expenditures to be no more than $360 million.

GAAP net loss for the third-quarter narrowed to $102.87 million or $0.15 per share, from $131.69 million or $0.20 per share in the prior year.

Non-GAAP net income for the quarter rose to $91.74 million or $0.13 per share from $66.98 million or $0.10 per share in the prior year. Quarterly revenue was $616 million, up 8% year-over-year. Wall Street expected revenues of $605.84 million.

Average monthly active users or MAUs were 317 million for the quarter, up 3% year-over-year and compared to 313 million in the previous quarter. Average daily active usage or DAU grew 7% year-over-year, an acceleration from 5% in the second-quarter and 3% in the first-quarter.